Be Aware Of Car Warranty Scams

Many of us have heard of the car warranty scams that are running rampant both on the Internet and offline. It can be a little worrisome trying to select car warranty coverage when you have to also worry about sinking your hard earned money in car warranty scams. Here are some tips to help make a wise decision and not be victim to car warranty scams.

Too Good to Be True

You have probably heard of the saying that if something is too good to be true than it probably is not a good deal. This same philosophy applies to car warranty coverage plans. If you come across an auto warranty broker that is offering to cover everything that is on the car at an extremely unbelievable rate, it is probably too good to be true. You are better off avoiding this company all together and finding someone else to handle your car warranty coverage plans.

Listing with Better Business Bureau

In the United States it is important for businesses to be listed with the Better Business Bureau of their area. This applies to companies both on the Internet and offline. Listing with the Better Business Bureau does not always mean that a company is legitimate and reputable. However, it can help to protect the consumer from fraud and scams.

When you are considering purchasing car warranty coverage with a company, make sure that they are listed with the Better Business Bureau for their area. An Internet company would list with the state or county where the physical facility or mailing address is. Not only should you find out if the company is listed with the Better Business Bureau find out if there have been any complaints filed against the company for services, not processing claims or other potential fraud events.

Internet Auction Sites for Car Warranty Coverage

Never ever purchase a car warranty through an Internet auction sites. Reputable companies are not going to post their car warranty plans on any type of auction site. Also, reputable companies are not going to hire employees or sales representatives that are going to try and secure clients and contracts through auction sites. If you see car warranty coverage on an auction site, you should report the listing to the site owner and keep your money in your pocket.

Auction site sellers are required to deliver you a product. Once the product is delivered you can never recover your money. If there is a car warranty plan for auction and you purchase it, all that has to be delivered to you is the actual contract. The contract may or may not be a legally binding coverage contract and you are out all of your money.

Contact a Real Person

Call the toll free telephone numbers with all companies that you will be doing business with on a regular basis. Listen to the noise in the background when the phone is answered. Does the atmosphere seem professional? Are they able to answer your questions? Do you even get to talk to a real person instead of a machine?

Virtually anyone can purchase a toll free line to operate out of their home. If you do not get hold of someone that is a professional, you should put up the red flag. Also, the person wants your credit card number or social security number to process your application over the phone, do not do business with them. You do not ever know for certain who is on the other end of the telephone.